Firm Behind Feminist Fearless Girl Statue Caught Paying Women Less

In one of the more performative displays of corporate feminism in recent history, Boston-based State Street Global Advisors made news when it helped place a bronze statue of a defiant young woman directly across from Wall Street’s Charging Bull in Manhattan’s Financial District, in order to celebrate “the power of women in leadership, and the potential of the next generation of women leaders.” A timely advertising campaign coinciding with International Women’s Day, Kristen Visbal’sFearless Girl statue quickly drew praise and criticism, leading New York City Mayor Bill de Blasio to weigh in on Twitter: “Men who don’t like women taking up space are exactly why we need the Fearless Girl,” he wrote. The multi-trillion-dollar asset firm had installed the piece of art partially as a promotion for SHE, an exchange-traded fund that only invests in companies with a commitment to gender diversity.

Since its installment, Fearless Girl has largely become a photo op for tourists who find themselves wandering around on Stone Street. This week, it would seem, it’s also become emblematic of corporate hypocrisy: State Street has agreed to pay $5 million to settle allegations that female and black executives at the firm were paid less than their white, male counterparts. Bloomberg reports that more than 300 employees will receive a payout from the firm after a U.S. Department of Labor audit revealed that since at least December 2010, female State Street senior vice presidents, managing directors, and vice presidents made less in base salary, total compensation, and bonuses than men in the same roles. The audit also revealed that black employees made less than their white counterparts. State Street, which manages $2.6 trillion in assets, was informed of the results of the audit on March 31, the same month the Fearless Girl statue was erected, and rejected the findings. Now, it’s choosing to settle instead of taking the case to court.

The firm denies the allegations, and said in a statement that it “is committed to equal-pay practices and evaluates on an ongoing basis our internal processes to be sure our compensation, hiring, and promotions programs are nondiscriminatory.” State Street, which calls on other companies to increase gender diversity on their boards, has a leadership team that’s 82 percent male and nearly entirely white, and this past May voted to promote more men to its executive ranks. And as Bloomberg notes, the firm tends to vote against gender-pay shareholder proposals.